Question 1

Shabreka likes to shop in a designer boutique located in a city 30 miles from her home.This store offers _________ utility.

Accepted Answer

Form utility is created when the firm converts raw materials into finished products that are desired by the market.

Question 2

Mammoth Foods,a major agricultural corporation,recently purchased MJS Organic Foods Co.MJS was established six years ago and has become a major supplier to restaurants in the northeastern United States.The organic herbs,vegetables,and fruit market is expected to have a double-digit growth rate over the next decade.Most likely,MJS would be classified as a ________ under the Boston Consulting Group model.

Accepted Answer

Stars (high share, high growth): important to building the future of the business and deserving any needed investment.

Question 3

Market penetration strategies allow the firm to introduce existing products to new customers,often including international markets.

Accepted Answer

Market penetration strategies focus on increasing sales of existing products to the current market, not introducing them to new markets.

Question 4

Sean attributes the success of his video game arcade to advertising on the most popular website for gamers.Recently,the website raised ad prices so Sean has cut his advertising in half.He believed that positive word of mouth will be enough now that his game parlor is well established.However,sales are slipping.The problem occurs in the ________ activity of the value chain.

Accepted Answer

Marketing and sales-how the firm communicates the value proposition to the marketplace.

Question 5

Manufacturers of writable CDs are concerned that demand may drop as people turn to the Cloud for data storage.CDs may be classified as a ________.

Accepted Answer

Problem Children, or Question Marks (low share, high growth): high cash needs that, if properly nurtured, can convert into stars.

Question 6

Value may be defined as the ratio of bundled benefits received to the cost incurred by the customer to receive those benefits.________ is not thought of as one of the costs.

Accepted Answer

One can think of value as a ratio of benefits to costs, as viewed from the eyes of the beholder (the customer). That is, customers incur a variety of costs in doing business with any firm, be those costs financial, time, opportunity costs, or otherwise.

Question 7

The concept of the value chain was created by ________.

Accepted Answer

Created by Michael Porter in his classic book Competitive Advantage, the value chain serves as a means for firms to identify ways to create, communicate, and deliver more customer value within a firm. Exhibit 2.1 portrays Porter's value chain concept.

Question 8

Apple introduced the iTunes store in 2003.On February 6,2013,Apple announced that the twenty-five billionth song had been downloaded.Most likely Apple's iTunes would be classified as a ________.

Accepted Answer

Cash Cows (high share, low growth): key sources of internal cash generation for the firm.

Question 9

Market development strategies allow the firm to invest additional resources to have existing customers consume new products.

Accepted Answer

The answer of Market development strategies allow the firm to...

Question 10

A firm's competitive strategy leads it to decide if it can grow and if not,how to survive through stability or retrenchment.

Accepted Answer

Generic strategy:

Question 11

Mark and Gregory are partners in a manufacturing firm that employs over 1,500 people.Recently,employees have been complaining that they were not told of changes in health insurance coverage and premiums.They attribute this to a problem with the ________ part of the value chain.

Accepted Answer

Human resource management-how the firm ensures it has the right people in place, trains them, and keeps them.

Question 12

Lately the demand for building materials has dropped due to the slowdown in new housing construction.Wood-O Corp.,is thinking of closing its fine wood division that produces mahogany and cherry lumber for building cabinets and other applications.Most likely the fine wood division would be classified as a ____________.

Accepted Answer

Problem Children, or Question Marks (low share, high growth): high cash needs that, if properly nurtured, can convert into stars.

Question 13

Gabrielle and Juan have a vacation home 90 miles from their primary residence.They could haul bags of groceries and an ice chest of refrigerated foods with them when they leave home.However,they like to grocery shop at a market located near the vacation spot.It offers them ______________ utility.

Accepted Answer

The three utilities-time, place, and ownership-are created by marketing. They are created when products are available to customers at a convenient location when they want to purchase them, and facilities of exchange are available that allow for transfer of the product ownership from seller to buyer.

Question 14

________ is not one of the five primary activities in the value chain.

Accepted Answer

The five primary activities in the value chain are inbound logistics, operations, outbound logistics, marketing and sales, and service. Technology procurement is not a primary activity but is considered a support activity in the value chain.

Question 15

José's and Maria's son Jorge is a talented swimmer.The pool where he takes swimming lessons is 45 miles from their home in suburban Atlanta.________ utility is not part of the roundtrip they make six days a week.

Accepted Answer

The three utilities-time, place, and ownership-are created by marketing. They are created when products are available to customers at a convenient location when they want to purchase them, and facilities of exchange are available that allow for transfer of the product ownership from seller to buyer.

Question 16

A window manufacturer has trouble getting raw materials for production.The problem occurs in the ____________ activity of the value chain.

Accepted Answer

Inbound logistics-how the firm goes about sourcing raw materials for production.

Question 17

Hot and Cold Corp.,makes disposable coffee and soft drink cups for use in fast-food restaurants,hospitals,convenience stores,and the like.The company is working on a sturdy new product that will biodegrade within five years of being put in a landfill.This promising new product line would most likely be classified as a ______________.

Accepted Answer

Stars (high share, high growth): important to building the future of the business and deserving any needed investment.

Question 18

Dave is a close-up magician who is famous for his card tricks.He creates and sells DVDs of his magic tricks.Lately he has been having trouble getting the DVDs produced in a timely manner.The problem occurs in the ________ activity of the value chain.

Accepted Answer

Operations-how the firm converts the raw materials into final products.

Question 19

Ryan pays a market rate to take his young children to daycare that is run by his employer.It is open until 7:00 p.m.,a time by which everyone leaves.This service offered by his company offers ________________ utility.

Accepted Answer

The three utilities-time, place, and ownership-are created by marketing. They are created when products are available to customers at a convenient location when they want to purchase them, and facilities of exchange are available that allow for transfer of the product ownership from seller to buyer.

Question 20

Form utility is ­­­­________.

Accepted Answer

Form utility is created when the firm converts raw materials into finished products that are desired by the market.

Quiz 2: Elements of Marketing Strategy,Planning,and Competition

Shabreka likes to shop in a designer boutique located in a city 30 miles from her home.This store offers _________ utility.

Market penetration strategies allow the firm to introduce existing products to new customers,often including international markets.

Manufacturers of writable CDs are concerned that demand may drop as people turn to the Cloud for data storage.CDs may be classified as a ________.

Value may be defined as the ratio of bundled benefits received to the cost incurred by the customer to receive those benefits.________ is not thought of as one of the costs.

The concept of the value chain was created by ________.

Apple introduced the iTunes store in 2003.On February 6,2013,Apple announced that the twenty-five billionth song had been downloaded.Most likely Apple's iTunes would be classified as a ________.

Market development strategies allow the firm to invest additional resources to have existing customers consume new products.

A firm's competitive strategy leads it to decide if it can grow and if not,how to survive through stability or retrenchment.

Mark and Gregory are partners in a manufacturing firm that employs over 1,500 people.Recently,employees have been complaining that they were not told of changes in health insurance coverage and premiums.They attribute this to a problem with the ________ part of the value chain.

Gabrielle and Juan have a vacation home 90 miles from their primary residence.They could haul bags of groceries and an ice chest of refrigerated foods with them when they leave home.However,they like to grocery shop at a market located near the vacation spot.It offers them ______________ utility.

________ is not one of the five primary activities in the value chain.

José's and Maria's son Jorge is a talented swimmer.The pool where he takes swimming lessons is 45 miles from their home in suburban Atlanta.________ utility is not part of the roundtrip they make six days a week.

A window manufacturer has trouble getting raw materials for production.The problem occurs in the ____________ activity of the value chain.

Dave is a close-up magician who is famous for his card tricks.He creates and sells DVDs of his magic tricks.Lately he has been having trouble getting the DVDs produced in a timely manner.The problem occurs in the ________ activity of the value chain.

Ryan pays a market rate to take his young children to daycare that is run by his employer.It is open until 7:00 p.m.,a time by which everyone leaves.This service offered by his company offers ________________ utility.

Form utility is ________.

Quiz 2: Elements of Marketing Strategy,Planning,and Competition

Shabreka likes to shop in a designer boutique located in a city 30 miles from her home.This store offers _________ utility.

Market penetration strategies allow the firm to introduce existing products to new customers,often including international markets.

Manufacturers of writable CDs are concerned that demand may drop as people turn to the Cloud for data storage.CDs may be classified as a ________.

Value may be defined as the ratio of bundled benefits received to the cost incurred by the customer to receive those benefits.________ is not thought of as one of the costs.

The concept of the value chain was created by ________.

Apple introduced the iTunes store in 2003.On February 6,2013,Apple announced that the twenty-five billionth song had been downloaded.Most likely Apple's iTunes would be classified as a ________.

Market development strategies allow the firm to invest additional resources to have existing customers consume new products.

A firm's competitive strategy leads it to decide if it can grow and if not,how to survive through stability or retrenchment.

Mark and Gregory are partners in a manufacturing firm that employs over 1,500 people.Recently,employees have been complaining that they were not told of changes in health insurance coverage and premiums.They attribute this to a problem with the ________ part of the value chain.

Gabrielle and Juan have a vacation home 90 miles from their primary residence.They could haul bags of groceries and an ice chest of refrigerated foods with them when they leave home.However,they like to grocery shop at a market located near the vacation spot.It offers them ______________ utility.

________ is not one of the five primary activities in the value chain.

José's and Maria's son Jorge is a talented swimmer.The pool where he takes swimming lessons is 45 miles from their home in suburban Atlanta.________ utility is not part of the roundtrip they make six days a week.

A window manufacturer has trouble getting raw materials for production.The problem occurs in the ____________ activity of the value chain.

Dave is a close-up magician who is famous for his card tricks.He creates and sells DVDs of his magic tricks.Lately he has been having trouble getting the DVDs produced in a timely manner.The problem occurs in the ________ activity of the value chain.

Ryan pays a market rate to take his young children to daycare that is run by his employer.It is open until 7:00 p.m.,a time by which everyone leaves.This service offered by his company offers ________________ utility.

Form utility is ­­­­________.

Form utility is ________.